Mozo guides

Saving on winter heating costs: A guide for reducing your energy bill

Couple on bed with dog and laptop

The cold winter months often see a rise in the cost of our energy bills as Aussies around the country try to stay warm. With heating and cooling accounting for 40% of our household energy bills, finding an efficient way to get your home warm without sacrificing comfort is key to cutting down those costs this winter.

Here at Mozo we’ve mentioned that the ACCC are expecting lower energy bills this year, but it is expected that heating costs combined with more people at home during the day due to lockdown will see winter bills higher than other periods of the year.

There are a few ways you might be able to save money on your bill, without sacrificing any warmth to the cold temperatures winter brings.

Gas heating is expensive

Believe it or not, gas is no longer considered the most cost effective way to heat your home. If you’re relying on a gas heater to keep you warm this winter, be prepared to pay a higher amount than some other options you could consider.

If environmental concerns are your forte, it may also be worth noting that gas heating is becoming increasingly worse for the environment. With diminishing gas supplies in the country, we are more frequently relying on fracking which can have significant environmental and agricultural impacts.

With the majority of our gas supplies being shipped overseas, it’s likely gas will continue to be a more expensive alternative to electrically powered heating options for the foreseeable future.

Portable heaters are the least cost effective option

Portable heaters can be versatile, you can move them around to suit your needs and they’re affordable to purchase. But the operating costs for portable heaters sees them as the most expensive option for your winter heating needs.

Portable heaters are only good for heating whichever space they’re in, while a gas or fixed electric heater would usually be more powerful in their ability to spread heat around your house. Because of this, homes with multiple people may consider having more than one portable heater in operation at one time, which would only run the cost of your energy bill up further.

Air conditioners can save money despite greater upfront costs

The purchase and installation of an air conditioning unit can cost a lot of money. But running an air conditioner is actually the most efficient way to heat your home and save money on your energy bill.

Reverse cycle air conditioners have been measured to heat a home for as much as near half of what a gas heater would cost, and a third of a portable heater’s expenses. While the cost to purchase and install an air conditioning system may be greater up front, in the long run it could save you money.

Mozo’s tips on saving energy

Mozo has already named a few methods to get on top of your energy bill this winter. See some of our tips below:

  • Use a weighted blanket instead of a heater
  • Work in the sun if working from home
  • Keep your showers under 10 minutes

Looking for more ways to save on your energy bill? Let Mozo help you compare offers in your area.


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Cooper Langby
Cooper Langby
Money writer

Cooper writes across all aspects of personal finance here at Mozo. With a double degree in Journalism and Communications & Media from the University of Wollongong, Cooper has previously written sports content for the Fansided network. He is now turning his focus to finances and is always looking for new ways to educate himself and our readers on the best ways to save money, and budget effectively.